When markets closed yesterday, the rate of the Icelandic Króna had declined by 3.8 percent. This is the lowest rate for the Icelandic currency since 2001.
“We see risk aversion in markets now and people are not willing to stand by the Icelandic Króna” Ragnheidur Jónsdóttir, an economist at Glitnir Bank told Fréttabladid
The rate of the Króna fell by 3.8 percent yesterday and that development was in no relation with rate swings of other currencies.
Jónsdóttir believes that investors are waiting for actions from the government or the Central Bank of Iceland. The Central Bank increased policy rates last Easter, as a last resort when the Króna fell, but policy rates have been unchanged since then.